British Prime Minister Tony Blair said the G8 group of leading economies needed to embrace emerging giants China and India if it was to keep its influential role in the world. The reality is the G8 is undergoing a process of change now, Blair told a panel at the World Economic Forum. I cant see the G8 having the same authority politically unless it has got China and India.

In a speech here last week Chancellor Angela Merkel said Germany would seek to launch a new dialogue with emerging powers during its G8 presidency this year. She said the rise of new powers like Brazil, China and India should be seen as both a challenge and an opportunity.